The year 2004 is a financial story of recovery and growth. Net profits grew by 1% bolstered by a record year for passenger journeys and the continued flow of property and related services income. Full discussions of the year’s financial performance are available in the 2004 Annual Report.

The MTR Corporation operates under a unique hybrid business model that acknowledges the need for public transport infrastructure, while operating as a commercial organisation under prudent financial principles. Accordingly, the company derives its revenue streams from mass transit operations augmented by the financial opportunity of development rights to those properties attached to the rail infrastructure. In using these negotiated cross-subsidised sources in public transport infrastructure, the company operates as a profitable business. Since listing in 2000, MTRCL’s share price has outperformed the Hang Seng Index and returned to shareholders an average 9.8% ROI. We consistently pay dividends and in 2004 announced a full- year dividend of HK$ 0.42 per share, on a par with previous years.

Our credit ratings align with Hong Kong’s sovereign risk profile and we rank among the corporate business leaders of Asia. Internationally, the MTRCL is a member of the MSCI and FSTE All-World Hong Kong Indices as well as the DJSI, FSTE4Good and the Ethibel Stock Indices.